Valuation
Independent opinions of value for legal, statutory, financial and transaction purposes.
- Litigation and expropriation
- Estates and insolvency
- Financial reporting
Real Estate Advisory
Market studies, feasibility and due diligence before capital is committed.
- Development feasibility
- Highest and best use
- Portfolio advisory
Sustainability & Value
Energy performance measured and priced into the value of property.
- Energy Performance Certificates
- Retrofit value analysis
- Section 12L incentives
Methodology, reporting audience and information requirements defined for the matter at hand.
Define the mandateEnergy performance is now a value question.
How a building uses energy shapes its income, its operating costs, its capital requirements and its appeal to tenants, lenders and buyers. Zwiande brings that evidence into valuation and real estate advisory, so its effect on value is measured, not assumed.
Where a building sits on this scale increasingly influences how the market prices it.
From compliance obligation to driver of value.
Qualifying non-residential buildings in South Africa must now hold and display an Energy Performance Certificate. For many owners, that began as a regulatory exercise. For investors, lenders and tenants, it has become information that informs price, credit and occupation decisions.
The difference between an efficient and an inefficient building increasingly shows up in rental growth, vacancy, operating costs, the capital needed to remain competitive, and the return a buyer will accept.
Energy Performance Certificates make a building’s efficiency visible to every tenant, buyer and lender.
Inefficient buildings face rising operating costs and retrofit requirements that erode net income.
Lenders and investors increasingly price sustainability risk into credit and acquisition decisions.
How energy performance moves value.
Select a rating to see how each driver of value typically responds. Every valuation then tests these effects against the market evidence for the specific asset.
Rental income
Stronger tenant demand supports rental levels and renewal rates.
Operating costs
Lower energy consumption protects net operating income.
Capital expenditure
Limited near-term retrofit spend needed to stay competitive.
Risk and yield
Lower perceived obsolescence risk can support a firmer yield.
Lender and buyer appetite
Broader access to finance, including green lending products.
Arrows show the indicative direction of effect on value. The extent of any premium or discount varies by asset class, location and market conditions, and is established in each valuation from transaction and rental evidence.
Sustainability, priced into value.
Energy performance is measured, translated into its effect on income, cost and risk, and reflected in the value clients rely on. One team, one mandate, from assessment to decision.
The technical evidence
How the building actually performs, established through recognised assessment methods.
- Energy Performance CertificatesAssessment for qualifying buildings, with certification issued through a SANAS-accredited inspection bodyBuildings are assessed under SANS 1544 and registered on SANEDI’s national building energy performance register. The certificate rates energy intensity from A to G and must be displayed at the main entrance of qualifying non-residential buildings.
- Energy auditsConsumption, cost and efficiency opportunities quantifiedA structured review of where and how energy is used across lighting, HVAC, equipment and the building envelope, producing measures ranked by capital cost, annual saving and payback.
- Green building certificationSupport for Green Star and EDGE ratingsGreen Star, administered by the Green Building Council of South Africa, rates buildings from four to six stars. EDGE, created by the IFC, certifies buildings that achieve at least 20% savings in energy, water and embodied carbon.
Priced into the opinion of value
The evidence carried through to income, operating costs, capital requirements and yield, so the figure reflects the building as the market will see it.
- Sustainability-informed valuationsEnergy performance, building quality and obsolescence considered explicitlyInternational Valuation Standards expect environmental factors that affect value to be considered. Energy performance, compliance exposure and future upgrade costs are reflected in income, costs and yield, and explained in the report.
- Premium and discount analysisMarket evidence on how efficiency affects rentals, vacancy and yieldsComparable lettings and sales are analysed to isolate the effect of rating, certification and building quality on rentals, vacancy periods and capitalisation rates.
- Financial reportingSustainability assumptions documented within IFRS and GRAP measurementsUnder IFRS 13, fair value reflects the assumptions market participants would make, which increasingly include energy performance and climate-related costs. Those assumptions are documented for the auditor.
Decisions that protect and grow value
Advice on where energy performance creates risk, and where improvement creates return.
- Sustainability due diligenceEPC status, compliance exposure and retrofit liabilities identified before acquisitionConfirms registration and certification status, identifies exposure to non-compliance penalties and quantifies upgrade costs, so they can be reflected in the price and the transaction terms.
- Retrofit value analysisUpgrade costs tested against the income and value they unlockMeasures such as lighting, HVAC and building management upgrades are modelled against energy savings, rental impact, value uplift and available tax incentives, including the section 12L allowance for verified savings.
- Portfolio energy risk screeningAssets ranked by energy-related value risk to direct capital expenditureEach asset is scored on energy performance, compliance status and value exposure, producing a prioritised plan for capital expenditure across the portfolio.
- Green development feasibilityThe commercial case for certified new developmentsAdditional design and construction costs are tested against rental premiums, operating savings, green finance terms and exit value.
Hover over or select any service for more detail.
Efficiency savings that reduce taxable income.
Section 12L of the Income Tax Act allows a deduction for verified energy efficiency savings, now extended to 31 December 2030. Built into retrofit and feasibility analysis, it improves the return on upgrades, and therefore their effect on value.
- 95cdeduction per kWh, or kWh equivalent, of verified savings
- 2030allowance extended to 31 December 2030
- SANS 50010measurement and verification standard applied
Indicative benefit
Illustration only, for a company taxed at 27%. Eligibility, baselines and verified savings are subject to SANEDI and SARS requirements. This is not tax advice.
- BaselineEnergy use before the measure established
- RegisterProject registered with SANEDI
- ImplementEfficiency measures installed
- VerifySavings measured by a SANAS-accredited professional under SANS 50010
- CertifySANEDI issues the savings certificate
- ClaimDeduction claimed with SARS; certificate retained for audit
Renewable energy generation, such as solar PV, is generally excluded from section 12L and falls under separate allowances. Savings that already receive another government benefit cannot be claimed twice.
Evidence for those who carry the risk.
Owners and funds
Understand which assets are exposed, and where upgrades protect income and value.
Lenders
Sustainability evidence to support credit decisions and green lending criteria.
Investors
Retrofit liabilities and compliance exposure identified before the price is agreed.
Public sector
Energy and value evidence across municipal and institutional property portfolios.